Answers
Annual after-tax cash flows Year 1 Year 2 Year 3 Year 4 Year 5 Year 6 Earnings before interest and tax $450,000 $450,000 $450,000 $450,000 $450,000 $450,000 Tax at 28% $126,000 $126,000 $126,000 $126,000 $126,000 $126,000 Net Income after tax $324,000 $324,000 $324,000 $324,000 $324,000 $324,000 Add: Depreciation $216,857 $216,857 $216,857 $216,857 $216,857 $216,857 Annual cash inflows $540,857 $540,857 $540,857 $540,857 $540,857 $540,857 Release of Working capital Salvage value after tax Annual after-tax cash flows $540,857 $540,857 $540,857 $540,857 $540,857 $540,857 Initial outlay (year) Cost of the equipment Installation cost Working capital - Inventory Training cost Initial outlay (year o). $1,500,000 $18,000 $90,000 $50,000 $1,658,000 Depreciation charge Cost of asset Life of asset Annual depreciation expense $1,518,000 a 7lb $216,857 a/b
.
Similar Solved Questions
1 answer
A rectangle is inscribed with its base on the x-axis and its upper corners on the parabola #y=6-x^2#. What are the dimensions of such a rectangle with the greatest possible area? thanks for any help!?
A rectangle is inscribed with its base on the x-axis and its upper corners on the parabola #y=6-x^2#. What are the dimensions of such a rectangle with the greatest possible area? thanks for any help!?...
1 answer
A small 460-gram ball on the end of a thin, light rod is rotated in a...
A small 460-gram ball on the end of a thin, light rod is rotated in a horizontal circle of radius 1.1 m . Calculate the moment of inertia of the ball about the center of the circle. Calculate the torque needed to keep the ball rotating at constant angular velocity if air resistance exerts a force of...
1 answer
Chapter 2, Practice Problem 2/015 A particle starts from rest at x = -3.0 m and...
Chapter 2, Practice Problem 2/015 A particle starts from rest at x = -3.0 m and moves along the x-axis with the velocity history shown. Plot the corresponding acceleration and the displacement histories for the 4 seconds. Find the time t when the particle crosses the origin. After you have the plots...
1 answer
1. Mike has just been asked to analyze an investment project to determine if it is...
1. Mike has just been asked to analyze an investment project to determine if it is acceptable. He notices that the project has cash flows as below. Apart from the initial investment of $1000, this project requires a major maintenance and additional investment in Year 3. Consequently, a net investmen...
1 answer
Bramble Corporation was organized on January 1, 2020. It is authorized to Issue 11,000 shares of...
Bramble Corporation was organized on January 1, 2020. It is authorized to Issue 11,000 shares of 8%, $100 par value preferred stock, and 524,000 shares of no-par common stock with a stated value of $2 per share. The following stock transactions were completed during the first year. Jan. 10 Issued 83...
1 answer
1. Inflation erodes the purchasing power of a nation's currency. T/F 2. Use the following table...
1. Inflation erodes the purchasing power of a nation's currency. T/F 2. Use the following table to answer the next two questions. In Terms of USD Country Bid Ask Brazil $.3033 $.3055 Euro $1.2216 $1.2220 2-a. What is the ask quote for Brazilian reais (R$) in term...
1 answer
HW18: Problem 9 Previous Problem Problem List Next Problem (4 points) What are the effective annual...
HW18: Problem 9 Previous Problem Problem List Next Problem (4 points) What are the effective annual rates for an account paying an annual interest rate of 10% which is compounded: (a) annually? (b) quarterly? (c) daily (assuming there are 365 days in the year)? (d) continuously? E % Note: You can ea...
1 answer
O Q 2 (C) Let S be the set of matrices of the form A= a...
O Q 2 (C) Let S be the set of matrices of the form A= a az ag where a ja, are arbitrary real numbers. Show there exists a unique matrix such that A EA for all A in S....
1 answer
Please show full workings only answer if you know how. (5) Consider the 3 x 3 matrix A - I - avv7 where a e R. I is the...
Please show full workings only answer if you know how. (5) Consider the 3 x 3 matrix A - I - avv7 where a e R. I is the identity matrix and v the vector 1S 2 (a) Determine the eigenvalues and eigenvectors of A (b) Hence find a matrix which diagonalises A. (c) For which a is the matrix A singular? (d...
1 answer
Give the equations of any vertical asymptotes for the graph of the rational function. (x+4)(x-7) f(x)...
Give the equations of any vertical asymptotes for the graph of the rational function. (x+4)(x-7) f(x) = (x - 5)(x-7) Select the correct choice below and fill in any answer boxes within your choice. O A. The vertical asymptote is x = (Type an integer or a simplified fraction. Use a comma to separate ...
1 answer
I am in C++ programming, I need help with this assignments. The answer in this assignments...
I am in C++ programming, I need help with this assignments. The answer in this assignments when I look for it it doesn't work in my visual studios. Can you please help me? I hardly have C in the class, if I fail I will fail the whole class and repeat this class again. The file named ...
1 answer
If the interest rate is 10%, what is the present value of a security that pays...
If the interest rate is 10%, what is the present value of a security that pays you $1,100 next year. $1,220 the year after, and $1,332 the year after that? Present value is $ 2798.97. (Round your response to the nearest penny.)...
1 answer
Included in Appetit LO13-1, LO13-2, LO13-4 EXERCISE 13.15 Home Depot, Inc. Using a Statement of Cash...
included in Appetit LO13-1, LO13-2, LO13-4 EXERCISE 13.15 Home Depot, Inc. Using a Statement of Cash Flows Statements of cash flow for Home Depot, Inc., for 2013, 2014, and 2013 are include of this text. a. Focus on the information for 2015 (year ending January 31, 2010). How does compare with net c...
1 answer
What would the z-score be of someone in the uncontrolled group who has a systolic BP of 170? What would the z-score be of someone in the controlled group who has a systolic BP of 17...
What would the z-score be of someone in the uncontrolled group who has a systolic BP of 170? What would the z-score be of someone in the controlled group who has a systolic BP of 170? ...